Value Chain, Resources and Capabilities of McDonald's - Essay Example

The main Mcdonald's weakness is the media backlash. On operations, the industry has online and onsite kiosk job application systems and is the second-largest employer in the U.S. on the marketing, sales the products are of high quality, and the industry promotes health and wellness campaigns and product offerings and does a lot of consumer and market research.

The company also makes promotions such as the Coca-Cola endorsement promotion. Their services have high accuracy and are done in a clean environment and are often accompanied by friendly customer service. However, the industry lacks employee apathy and some customers complain of dissatisfaction (Collier 2010).

resources is with other companies McDonald's relies on its resources for its capabilities and core competencies to be able to create value through this, McDonald claims to have capabilities including its own employees and the training experiences provided to them.

A global food vision and a stable of full-time chefs in studios, which are located in Hong Kong, Munich, and Chicago, are some of the resources that are combined to form the firm’s product innovation capability. To make all this work is dependent on the firm’s organizational structure. McDonald's uses its resources to focus on being better instead of concentrating on being big and this has been evident since McDonald's is becoming better through creating value for customers. Any strategies that the firm chooses must be based on its resources.

McDonald's uses its skills in human resources to lay a foundation for producing a number of new products to serve local customers. To implement a strategy the managers integrate or combine different resources so that the firm is able to complete tasks. From the importance of resources, managers complete an internal analysis (Hess 2010).

Capabilities
McDonald's uses their capabilities to identify emerging asymmetries, especially during poor human capital. The capabilities are shown by the changing marketing opportunities.

The company’s strategy is concerned with matching a firm’s capability, which in most cases arises in the external environment. The role of capabilities comes in two factors. First, it is where the capabilities are given more focus when the company becomes unstable, and second is when the capabilities of the company are superior. The connection that exists between the resource and capabilities of the industry creates a competitive advantage. The McDonald Company applies an important step in operating and translating directions to capabilities.

The continuous practice with time becomes a routine (Rugman 2005).